LANSING – In a move that will jumpstart Michigan's economy and protect thousands of jobs, State Representatives Shanelle Jackson (D-Detroit) and Rashida Tlaib (D-Detroit) on Thursday introduced a plan to expand and modernize Detroit's Cobo Hall. The new plan will build on a previous proposal to ensure that Michigan remains the home of the North American International Auto Show and cements Cobo Hall as a prime international destination for events from around the world. The plan will also address concerns associated with the previous proposal, which passed through the Legislature in December.
"Cobo Hall is a vital part of Michigan's economy, but it is in desperate need of repairs and upgrades to both maintain and expand its services," said Jackson, the lead sponsor of the plan. "Thousands of Detroiters depend on the jobs that Cobo Hall provides, and with Michigan's working families struggling to make ends meet, we can't afford to see those jobs disappear. Our residents have made their voices heard loud and clear that we need to move quickly to resolve this issue, and I look forward to working with all interested parties to create the best possible plan for Detroit and our entire region."
Tens of thousands visit Cobo Hall each year, many to visit the North American International Auto Show, one of Michigan's signature events. In addition to being responsible for over 16,000 jobs, it is estimated that Cobo brings $600 million in revenue annually to Michigan's economy.
Nissan and Mitsubishi made waves last year when they pulled out of the auto show. They join Suzuki and Porsche, who cited Cobo's limited space and obsolete facilities in making their decision. In fact, preparations for the auto show have to begin six months in advance, in order to adequately deal with the inefficiencies of Cobo's loading docks.
The newly introduced plan will:
- Transfer ownership of Cobo Hall from the City of Detroit to a new regional authority, made up of a seven-member board with representatives from the tri-county area and the auto industry. This board will have the initial task of overseeing the renovation and expansion, and later will manage the property under strict rules designed for efficiency and transparency.
- Provide $35 million to the host city to avoid potential debts.
- Provide an extra $500,000 to cover police and fire services surrounding events at Cobo Hall.
Under the plan, the regional authority will consist of two representatives each from both Detroit and Wayne County, one representative each from both Oakland and Macomb counties, and one appointed by the Governor. Funding for the expansion will come from a redistribution of current revenues. No new taxes will be created and no taxes will be raised to pay for the project.
"We can no longer afford to wait on this plan – we need to be looking ahead," Tlaib said. "Without expanding Cobo, we're in danger of losing the auto show, as well as revenue, tourism, and jobs that come along with it. Due to the complexity of the plan, I anticipate changes to the proposal and will meet with interested parties as the plan goes through the Legislature. By fostering a system of regional cooperation we can ensure that the best interests of the entire state always come first."